Macron dispatching Barnier to Beijing to save French cognacs from Chinese tariffs
The move comes after the French president met his Chinese counterpart on the sidelines of the G20 in Brazil.
RIO DE JANEIRO — French President Emmanuel Macron plans to send his prime minister, Michel Barnier, to China as part of an effort to get Beijing to drop duties on French cognac and other European brandies.
Macron’s announcement came after a Tuesday meeting with his Chinese counterpart, Xi Jinping, on the sidelines of the G20 summit in Rio de Janeiro. The French president said the two leaders had agreed to seek “a favorable outcome” to the cognac duties.
The potential breakthrough comes with China and the European Union on the verge of multi-front trade war. The spat began with Brussels accusing Beijing of flooding Europe with heavily subsidized Chinese electric vehicles that, in its view, unfairly undercut European EVs.
After an initial probe, the EU slapped tariffs on Chinese EVs, which China responded to by enacting duties on imports of European brandy, accusing the industry of dumping — selling goods cheaper than at cost price to undercut local competitors. Both industry groups and French officials have denied the allegations of dumping.
The move mainly targets French luxury cognac brands, as Paris was viewed as the primary supporter of the EV investigation. France is one of Europe’s most outspoken critics of heavily subsidized Chinese goods flooding the single market and the barriers European firms face in accessing the Chinese markets.
Macron said that France and China are set to launch “a technical process” though he did not go into detail on what that entails. However, once that process is concluded, Barnier will travel to China for talks with Prime Minister Li Qiang.
Macron added that France would push for more “strategic autonomy” within the EU, meaning a Europe that defends its economic security and protects itself against unfair trade practices.
“We would like our partners to show the same openness as the European Union,” Macron said during his opening statements at his bilateral meeting with Xi. “You know how committed we are on this point.”
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